Contribution rates for retired members effective April 1, 2017

February 21, 2017

The Treasury Board has announced the new Public Service Health Care Plan (PSHCP) Monthly Contribution Rates that will come into effect April 1, 2017.

The contribution rates for retired members of the PSHCP with Supplementary coverage will be adjusted on April 1, 2017, to meet this year’s 43.75% : 56.25% (retired member : employer) cost-sharing ratio.

The following tables break down the contribution rates by the Extended Health Provision (EHP) and Hospital Provision (HP) with a total amount paid by the pensioner each month.
 

The new rates are as follows:

Pensioner monthly contribution rates:

Supplementary coverage

TYPE OF
COVERAGE
SINGLE RATE
  EHP HP Total
Hospital
Level I
$50.44 $0.00 $50.44
Hospital 
Level II
$50.44 $16.56 $67.00
Hospital 
Level III
$50.44 $45.41 $95.85
TYPE OF
COVERAGE
FAMILY RATE
  EHP HP Total
Hospital
Level I
$97.24 $0.00 $97.24
Hospital 
Level II
$97.24 $16.56 $113.80
Hospital 
Level III
$97.24 $45.41 $142.65

Pensioner monthly contribution rates:

Relief Provision

TYPE OF
COVERAGE
SINGLE RATE
  EHP HP Total
Hospital
Level I
$28.82 $0.00 $28.82
Hospital 
Level II
$28.82 $16.56 $45.38
Hospital 
Level III
$28.82 $45.41 $74.23
TYPE OF
COVERAGE
FAMILY RATE
  EHP HP Total
Hospital
Level I
$55.57 $0.00 $55.57
Hospital 
Level II
$55.57 $16.56 $72.13
Hospital 
Level III
$55.57 $45.41 $100.98

The new contribution rates will begin to be taken from the March 30, 2017 pension cheques.

Federal Retirees is pursuing legal action to have the courts declare the government’s actions on the PSHCP unlawful – we’ll have our say in Federal Court on April 10 and 11, 2017. We don’t expect a decision immediately, but we’ll keep you informed on the proceedings in April and will update you once the decision is rendered. Learn more about the PSHCP legal action now.

Remember, relief from increasing PSHCP rates may be available if you are or become a recipient of a Guaranteed Income Supplement (GIS), or if your net or joint net income is lower than the GIS thresholds. The PSHCP Relief Provision can allow you to retain the 25:75 (retiree: employer) monthly contribution cost-sharing model. Find out who can and how to apply.

In the meantime, be sure to spread the word about membership with Federal Retirees. As a not-for-profit advocacy organization, we have strength in numbers and your membership matters. The larger our Association becomes, the stronger our voice – and the more effectively we can speak on behalf of federal retirees. Tell your federal retiree friends to enroll today.